Tepid response to infra bonds, Srei plans Rs 150 cr issue

Saikat Das
Moneycontrol.com

Investors in debt instruments are cold-shouldering infrastructure bonds and flocking to banks and corporates offering competitive rates on fixed deposits and non-convertible debentures (NCDs) respectively.
Reflecting this trend, bond issues offering 9% interest from Infrastructure Development Finance Company (IDFC) and L&T Infrastructure Finance Company have evoked a tepid response, collecting Rs 142 crore and Rs 40 crore respectively till now, managers of the two issues told moneycontrol.com. This is way off the ambitious targets both firms have set for themselves. IDFC is looking to raise Rs 5,000 crore in FY12 in two or three tranches, and  L&T Infra hopes to raise Rs 1100 crore this fiscal ending March.
IDFC